Neo Financial secures $68.5M in equity, backed by 100+ Canadian investors to fuel securitization strategy

Backed by entrepreneurs, founders, and institutional investors including AIMCo, Northleaf Capital Partners, and Plaza Ventures.

CALGARY, AB, Feb. 3, 2026 /CNW/ - Neo Financial (Neo), one of Canada's leading financial technology companies, today announced it has raised $68.5 million in equity. The oversubscribed round was led by a syndicate of more than 100 Canadian investors, founders, and entrepreneurs, alongside participation from institutions including Alberta Investment Management Corporation (AIMCo), Northleaf Capital Partners, Plaza Ventures, Sandstone Asset Management, and Caldwell Growth Opportunities Fund.

The capital will be used to fund Neo's inaugural securitization program, a first of its kind for a Canadian fintech. By securitizing its credit assets, Neo is adopting the capital-efficient model already used by the world's largest banks and allowing it to grow its lending portfolio to billions of dollars without being constrained by equity-funded lending. This aligns Neo's credit modeling and risk management practices with the rigorous standards of Canada's Tier 1 banking sector.

Neo's sophisticated AI-driven credit models are core to making this securitization program possible. This allows Neo to accurately and more deeply assess risk while maintaining the underwriting rigour required for a program of this scale.

With this strategic milestone, Neo can expand its growth and ensure its award-winning credit cards continue to give Canadians access to tools and rewards that help them make meaningful financial progress.

"Our goal has always been to build a generational company that is made in Canada, for Canadians," said Andrew Chau, co-founder and CEO of Neo Financial. "By unlocking the power and scale of securitization, we can challenge the financial status quo that has been holding back Canadians' financial progress for decades. Having the backing from over 100 of our country's most successful entrepreneurs and institutional leaders is a massive vote of confidence as we enter our next phase of growth."

About Neo Financial

Neo Financial is a technology company building a financial experience to help Canadians get what they've earned. Founded in 2019, Neo Financial has raised more than $700 million in funding and has been recognized as Canada's top-growing company by The Globe and Mail and Deloitte. Neo is headquartered in Calgary, Winnipeg, and Toronto and is backed by top-tier investors across North America.

Neo Financial provides over one million customers with safe and secure ways to earn everyday financial wins, including a suite of credit cards to help build credit, Everyday Accounts offering more freedom than a chequing account, flexible high-interest savings (Neo Savings), investing (Neo Invest), and one of Canada's lowest mortgage rates (Neo Mortgage). Neo for Partners powers financial solutions for over 10,000 partners across the country. To learn more, visit neofinancial.com.

SOURCE Neo Financial

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